Laverton North industrial warehouse changes hands for $4.775 million

An interstate investor has secured a high-performing 2,141sqm industrial site in Melbourne’s west in a tightly negotiated deal that underscores the strength of the logistics and warehousing sector.

CBRE’s Cameron Giles and Lachlan May negotiated the transaction of 81 Patch Circuit in Laverton North which sold for $4.775 million, delivering a 4.6% yield. A sharp result in a market where quality stock remains scarce.

The listing was conjunctional with Savills agents Tom Edwards and Dani Tadi.

Mr Giles noted the property, which includes a 1,128sqm warehouse with a 203sqm dual level corporate office area, was vacant throughout the campaign and drew interest from both the investor market and owner occupier market.

Despite broader market softness in parts of Melbourne’s western corridor, the CBRE team was able to identify a committed interstate purchaser and suitable international tenant and navigate a dual negotiation process.

“This was a complex transaction. Within the Patch Circuit estate, vacancy is rising and tenant demand is selective so our ability to secure a lease mid-due diligence with the incoming purchaser and facilitate early occupation for the tenant was key to unlocking value for both parties,” Mr Giles said.

Mr May added, “The estate has seen a number of vacancies recently, so finding the right tenant and investor required a targeted approach. This result reflects the strength of the asset and the depth of our network.”

Mr May noted Laverton North continues to attract strong interest from investors and occupiers alike, driven by its proximity to major transport infrastructure and proximity to the CBD, airport and Port of Melbourne. Tenant demand remains strong through this location, particularly for modern, well-located facilities.

The precinct is experiencing a modest rise in vacancy rates, currently sitting around 4%, reflecting a slight softening in demand for larger-format facilities. Despite this, leasing activity remains robust for small to mid-sized warehouses, supported by stable land values and consistent tenant interest. Rental growth has moderated, with landlords increasingly offering incentives to attract tenants, particularly in secondary-grade assets.